A new twist has been introduced into the on-going trial of former Senate Committee
Chairman on Power, Senator Nicholas Ugbane and his House of Representatives
counterpart Hon. Ndudi Elumelu as the Economic and Financial Crimes Commission,
EFCC, on Monday, June 14, 2010, accused the duo of misappropriating over N10 billion
public funds.
This was disclosed in a 20 paragraph affidavit filed before Justice Garba Umar of
the Federal High Court, Abuja , to oppose the application on notice filed by the
accused persons to quash criminal charges brought against them by the EFCC over
their indictment in the N5.2 billion Rural Electrification Agency, REA, contract
scam. Specifically, Elumelu and Ugbane had approached the court on June 10, 2010
with an application praying that the charges against them be quashed for lacking in
merit.
In response, prosecution counsel, Godwin Obla told the court that the application
brought by the duo was in bad faith. He further argued that the accused persons were
involved in a grand conspiracy to commit various criminal misconducts, ranging from
misappropriation of over N10 billion from the account of REA; misappropriation of
unspent funds at the end of the year instead of returning same to the treasury.
Others are misappropriation of N500million to buy  houses; diversion of REA’s funds;
 flouting of government’s rules on award of contracts and award of  fictitious and
unnecessary contracts without following due process.
According to the EFCC’s counsel , preliminary findings also indicated that  Elumelu
and Ugbane, in their capacities as Chairman, House Committee on Power and Chairman
Senate Committee on Power respectively, were involved in conducting procurement
fraud by means of fraudulent and  undue interest in influencing procurement
processes to obtain undue advantage in contract award in Rural Electrification
Agency.
The EFCC also alleged that Senator Ugbane was one of the members of the National
Assembly that initiated the Grid Extension and Solar Electrification contracts and
inserted same in the 2008 budget of the Rural Electrification Agency.
“That the said Grid Extension and Solar Electrification contracts were used as
conduit pipes with which funds of the Rural Electrification Agency were siphoned and
were awarded to companies either not prequalified to be awarded  the contract  or
were phony or existing companies”, Obla said in his counter affidavit to oppose the
move by the accused to quash the charges against them.
He pointed out that former managing director, Rural Electrification Agency,  Engr.
Samuel Ibi Gekpe admitted in his statement,  contained in the proof of evidence, 
that staff of  REA were shown the sites for the purported solar base projects in
Sen. Ugbane’s constituency,  in Kogi State by the senator’s staff, stressing that
the Senator showed heavy interest in the companies that lifted the contracts for the
purported Grid Extension and Solar base projects.
Obla prayed the court to discountenance the prayers of the accused persons, pointing
out that the nature of the offences for which they are charged are felonious and
carry severe sentences of up to five years imprisonment without an option of fine.
Justice Umar adjourned the case till July 5, 2010 for ruling on the merit of the
motion to quash the case. He had earlier on 27th January 2010, ruled that Hon. Ndudi
Elumelu, Senator Nicholas Ugbane and seven other accused persons in the REA contract
scam are to take their pleas in the amended charges preferred against them by the
EFCC.
The other seven who are being prosecuted in the new amended charges are: the
permanent secretary in the ministry of power, Abdulahi Aliyu; the Managing Director,
REA, Samuel Gekpe, Simon Nanle, Lawrence Orekoya; Abdulsamad Jahun; Kayode Oyedeji,
Igwe Paulinus, and Jibo Mohammed
The accused persons are facing criminal trial over their alleged involvement in the
N5.2 billion fraud in the REA contract scam.
The EFCC, had substituted two of the earlier charges for another 85 counts charge
dated 26 January, 2010.

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